Mendl’s patisserie and the Country of Nimby
Submitted by ISPI on Mon, 20/04/2015 - 00:23by ISPI Energy Watch - The current market situation is disappointing for all players in the power generation industry, whether they rely upon conventional or renewable sources, be they subsidized or unsubsidized.
Despite poor market performance, however, some actors can still strike a profit in the electricity industry. Consider the role that RAB – Regulatory Asset Base – plays in regulated business. When a business is regulated, it is not so easy to attract private investment, all the more so when the deal involves assets with a very long life cycle, which require huge investments. Over the past couple of decades, we have observed a wide variety of RAB models, which have been instrumental in attracting significant amounts of capital and channel it towards infrastructural projects.